Sabtu, 28 November 2015


By Andi Abdussalam
          Jakarta, Nov 28 (Antara) - Under obligation to implement the government's mandatory biofuel mix of 20 percent diesel fuel, state-owned oil/gas firm Pertamina has predicted that it will have pure diesel production surplus of about 400 thousand tons per month.
         The government, through the Energy and Mineral Resources Ministry (ESDM), has over the past two years issued a regulation requiring Pertamina to implement a mandatory biofuel mix of diesel oil.
         The mandatory biofuel mix policy is expected to have broad implications such as the absorption of 5.3 million kiloliters of biodiesel, which is some 4.8 million tons of the country's crude palm oil (CPO) production, and the retrenchment of US$2.54 billion of foreign exchange from fossil fuel import cuts.
         The government through the ESDM minister's regulation number 12/2015 has raised the mandatory biofuel mix of diesel from 10 percent (B10) in 2014 to 15 percent (B15) this year.
         It is planning to raise it further to 20 percent (B20) in 2016.
         For this purpose, Pertamina established a partnership with 11 biodiesel producers to meet the need for the fuel from November 2015 to April 2016.

Jumat, 27 November 2015


 By Andi Abdussalam
          Jakarta, Nov 28 (Antara) - The Indonesian government is committed to developing railway projects in provinces across the country, particularly outside Java Island, in an effort to increase connectivity and reduce transportation costs.
         President Joko Widodo (Jokowi) Wednesday, November 25, inspected the construction of the first phase of the 2000-kilometer (km) Makassar-Manado Trans-Sulawesi Railway Project, which is being built at a cost of Rp40 trillion and is expected to commence operations in 2018.
         "The railway service is expected to commence operations in 2018 and will connect the two capitals," the President told newsmen after the inspection of the first phase.
         The first phase of the Trans-Sulawesi section stretches 145 km from Makassar, the South Sulawesi provincial capital, to Parepare Municipality, and is expected to begin operations by the end of 2016.
         The government was committed to providing infrastructure in the regions across the country, the President emphasized.
         "It is not only here but also in other places. In Papua, we are still conducting a study, which is expected to be completed in the next quarter, so that the construction may possibly start next year," he noted in Barru, a district town of South Sulawesi which is blessed by the project.


 By Andi Abdussalam
          Jakarta, Nov 27 (Antara) - The government hopes to start implementing infrastructure projects by early 2016 in an effort to stem the continuing slide in the economy.
         It is in the process of finalizing government-private partnerships (KPS) and foreign loan-funded infrastructure projects that will be implemented soon. Some 1,600 infrastructure projects under the Ministry of Public Works and Public Housing are ready for auction.
         Minister of National Development Planning and Head of the National Development Planning Board Sofyan Djalil said on Wednesday that the projects are ready for auction and construction can start by early 2016.
         "Those (ministries/state institutions), who have received a huge budget for infrastructure development, have been responsive," he noted on the sidelines of an economic seminar.
         The government is expediting the implementation of the infrastructure projects because this can help overcome certain problems in the economy, which is still slowing down.
         According to Finance Minister Bambang Brodjonegoro, infrastructure development is part of the solutions that will help stem the economic slide.
        "The economic slowdown is still taking place. We must have a reliable sector that can halt it. We should boost government expenditure in infrastructure development," the Finance Minister noted here on Thursday.

Kamis, 26 November 2015


 by Andi Abdussalam
          Jakarta, Nov 26 (Antara) - Indonesia will ask developed nations to help reduce the world's carbon emissions and show its seriousness in overcoming global warming during the Paris climate conference being held next week.
         Indonesia is also ready to take the lead in global efforts to overcome climate change issues, setting a target to reduce its own emissions by 30 percent by 2030.
         "The Indonesian President will raise several issues during the 21st Conference of Parties (COP-21) of the U.N. Framework Convention on Climate Change (UNCCC). This will also show Indonesia's recognition and grave concern for the climate issue and that it is ready to take the lead in overcoming global warming," Indonesian Foreign Ministry Spokesman, Arrmanatha Nasir said here on Thursday.
         The ministry spokesman said Indonesia as an island state is one of the countries that is most affected by the impact of climate change.
         For this purpose, Indonesia has prepared documents and plans to reveal a special mission during the climate change conference in Paris.

Selasa, 24 November 2015


by Andi Abdussalam
          Jakarta, Nov 25 (Antara) - Indonesia and other ASEAN member countries have made maximal preparations to enter the common free trade era, when the implementation of the ASEAN Economic Community (AEC) will begin on December 31, 2015.
         Although many still cast doubts, Indonesia, on its part, says it is now ready to face the AEC as it has completed 94.1 percent of the preparations.
         "I think 94 percent is the maximal preparations we have made," President Joko Widodo (Jokowi) stated on the sidelines of the ASEAN Summit in Kuala Lumpur on Sunday.
         Therefore, Indonesia is now ready to face the AEC, which will be implemented beginning next January.
         "If we calculate all areas that the ASEAN members need to work on, we have completed 94.1 of the required preparations," President Jokowi noted at the Kuala Lumpur Convention Center.
         He said that some of the ASEAN members had completed 92 percent, 93 percent, and even 94 percent of the preparations.
         "This means that like it or not, everything must be prepared," he affirmed. 
    Indonesia should be able to derive benefits from the implementation of the AEC.

         "We cannot expect to get something (easily). All should be seized." Jokowi remarked.
         The Indonesian president emphasized on improving efficiency and competitiveness and stressed on revising regulations that create hurdles.
        The president noted that if all aspects are taken into account, then the number of areas that had yet to be worked on could reach several hundred.

Senin, 23 November 2015


by Andi Abdussalam
         Jakarta, Nov 24 (Antara) - The Ministry of Marine Affairs and Fisheries (KKP) has claimed to have achieved success in fighting fish poaching in the country's waters, thereby resulting in an increase in fish catch.
        While illegal fishing has been drastically reduced, the KKP also made assurance that fish catch transshipment at sea for direct sales overseas has been stopped. All the caught fish will first be taken to the country's fishing ports. 
   However, this success should also benefit the 7.8 million poor fishermen living in the coastal areas in order to improve their welfare.

         The People's Coalition for Fishery Justice (Kiara) has also called on the KKP to pay attention to traditional fishermen in the coastal areas. It should not merely focus on implementing measures to improve fish stocks in the waters but also increase the prosperity of fishermen.
         "We need to emphasize that the management of fisheries resources should not be confined to solely handling fish stocks but also protecting and empowering fishermen, so that the well-being of poor fishermen in the coastal areas would be improved," Kiara Secretary General Abdul Halim noted on Monday (Nov. 23).


 by Andi Abdussalam
         Jakarta, Nov 23 (Antara) - Liquidity assistance worth US$20 billion provided by China, through a bilateral currency swap scheme, will strengthen Indonesia's liquidity amid the current global economic turmoil, according to Bank Indonesia (BI), the Indonesian central bank.
        "This is part of the second line of defense. If there is pressure, it would provide liquidity support," BI Governor Agus Martowardojo stated on Friday.
        Therefore, the BI governor hailed the bilateral currency swap arrangement, which increased from the previous scheme valued at US$15 billion. 
   He said the liquidity support assistance indicated increasing investor confidence in Indonesia's economy, which has been increasingly improved in line with the development of the domestic economy.

        "The confidence is reflected in the decrease in the rupiah's depreciation from 19 percent year-to-date (ytd) last August to 10 percent ytd now. This displays the increase in confidence," noted Agus.
        Recently, the governments of Indonesia and China held a bilateral meeting on the sidelines of the G20 Summit in Antalya, Turkey, last week (Nov. 15).